The Perfection Trap
by Yasushi Kusume
‘In their zeal to reduce uncertainty and minimize errors, organizations fall into the predictability trap and the perfection trap.’
Seeing What Others Don’t, Gary Klein
How do you manage an operation as efficiently as possible, while at the same time fostering change and innovation? For Gary Klein, it requires a delicate balance. In his book, Seeing What Others Don’t, he writes, “Management controls are essential in any well-run enterprise to increase predictability and reduce errors. However, excessive controls hinder insight by imposing costs in terms of time and effort needed for making changes.” [My emphasis.]
Two desires
Klein believes companies can improve their performance by 1) reducing errors and uncertainty while, at the same time 2), increasing insight into how their company works. He illustrates this with a simple diagram, showing the two desires balancing each other out. As insights into company operations increase, errors and uncertainty in performance will decrease.
Perfection?
He goes further, delving into the concept of ‘perfection’, pointing out that while adhering faithfully to an original plan or routine seems appealing – because it shows loyalty to the company, which often leads to promotions – it can all too often stifle innovation and improvement. He calls this the ‘perfection trap’. Yes, he says, companies need an initial plan to get going. But sticking too rigidly to that plan can often shut down chances to change. Prioritize a short-term reduction in errors over insight and long-term strategic innovation, and you risk making your company vulnerable to competitors more willing to take chances.
This, he believes, is a common mistake in well-established, efficient enterprises: they treat innovation the way they treat everyday operation. Yes, he says, an efficient operation – following predictable, repeatable steps – benefits from incremental improvements and extensive experience. Because there’s no ‘guesswork’ involved, it needs only fine-tuning to keep running smoothly. But innovation demands something different.
There is no map
If you want to capture new, emerging opportunities and create breakthrough value propositions, you need to begin with a direction. Not a detailed map. Because there is no detailed map. When Columbus set sail to the west, he did so with a goal: to find sea routes to the Far East so he could acquire spices and other rich cargo.
He didn’t begin with a step-by-step plan plotting milestones, midway deliverables, or even the size of market gains. He knew where he wanted to end up, but not how. In fact, if he’d known how misguided his plan was, and that he’d end up in what came to be known as the Bahamas, he might never have left port in the first place. The Americas could have lain ‘undiscovered’ for years or even decades.
So innovation doesn’t come from sticking to a plan and a timetable. And it doesn’t ignore ‘incubation time’.
Incubation time
Not all change springs fully formed from a moment of inspiration. Some significant innovations often come from unexpected quarters and require time to develop. They need to be set aside before their full potential is realised. This, as Graham Wallas, highlights in The Art of Thought, is the importance of 'incubation time' in the creative process. The Post-It Note is a perfect example.
Spencer Silver, a chemist/researcher at 3M's Central Research Labs, was trying to develop an adhesive to be used in aircraft construction. He failed in that, but the ‘low-tack’, reusable adhesive he did develop later came into its own when Arthur Fry, an American inventor and scientist, realised that it could be used – and re-used – to attach notes to paper. Spencer Silver had indeed come up with a good product. It just needed the right application to make it a success.
Rethinking KPIs
So are there Key Performance Indicators for innovation projects? I say yes, but I don’t offer several. I propose just one: Return on Investment (ROI). Innovation shouldn’t be judged by adherence to a plan or to project milestones. You can’t plan it. You have to let it grow from multiple activities, and activities that might well have begun without the final destination in mind. So, with that thought, I’d like to finish by listing some useful Do’s and Don’ts
Do
Measure overall ROI rather than ROI per project.
Allow flexibility and deviation from the original plan.
Pause projects strategically and start others as needed.
Avoid standardized, rigid processes.
Don't
Avoid measuring ROI for each individual project.
Resist installing precise, milestone-driven project management systems.
Require formal opening and closing of every project.
And one final, additional, Do:
Make sure your innovation decision-making board includes members with diverse backgrounds, not just operational expertise.